TOKYO -- Toyota is cleaning house at its troubled minicar maker Daihatsu after an embarrassing safety scandal damaged customer trust at home and tarnished its brand image.
Daihatsu Chairman Sunao Matsubayashi and President Soichiro Okudaira will resign. Toyota will dispatch Masahiro Inoue to be the new president and Masanori Kuwata to be a new executive vice president in charge of reforming corporate culture, effective March 1.
The position of chairman will be abolished, Sato said at a news conference here.
Inoue is currently the CEO of Toyota’s Latin America and Caribbean region.
As part of the overhaul, Toyota will refocus Daihatsu’s business on minicars and outsource some of its overseas operations to partner companies. The overall idea is to relieve the pressure for growth that overstretched the company’s development and production resources.
“The rapid expansion of the company caused distortion that was not properly absorbed by the company,” Inoue said of the minicar maker’s problems. “I aim to rebuild Daihatsu.”